Debenture capital

(1) The Central Government shall constitute a body called the Central Electricity Authority generally to exercise such functions and perform such duties under the Act and in such manner as the Central Government may prescribe or direct, and in particular to- (i) Develop a sound adequate and uniform national power policy, formulate short-term and perspective plans for power development and co-ordinate the activities of the planning agencies in relation to the control and utilisation of national power resources; (ii) Act as arbitrators in matters arising between the State Government or the Board and a licensee or other person as provided in this Act; (iii) Collect and record the data concerning the generation, distribution and utilisation of power and carry out studies relating to cost, efficiency, losses, benefits and such like matters; (iv) Make public from time to time information secured under this Act and to provide for the publication of reports and investigations; (v) Advise any State Government, Board, Generating Company or other agency engaged in the generation or supply of electricity on such matters as will enable such Government, Board, Generating Company or agency to operate and maintain the power system under its ownership or control in an improved manner and where necessary, in co-ordination with any other Government, Board, Generating Company or other agency owning or having the control of another power system; (vi) Promote and assist in the timely completion of schemes sanctioned under Chapter V; (vii) Make arrangements for advancing the skill of persons in the generation and supply of electricity; (viii) Carry out, or make arrangements for, any investigation for the purpose of generating or transmitting electricity; (ix) promote research in matter affecting the generation, transmission and supply of electricity; (x) Advise the Central Government on any matter on which its advice is sought or make recommendation to that Government on any matter if, in the opinion of the Authority, the recommendation would help in improving the generation, distribution and utilisation of electricity, and (xi) Discharge such other functions as may be entrusted to it by or under any other law. (2) The Authority shall consist of not more than fourteen members of whom not more than eight shall be full-time members appointed by the Central Government. (2-A) A full-time member shall be a person who has experience of, and has shown capacity in,- (a) Design, construction, operation and maintenance of generating stations; (b) Transmission and supply of electricity; (c) Applied research in the field of electricity; (d) Applied economics; or (e) Industrial, commercial or financial matters. (3) The Central Government shall appoint one of the full-time members to be the Chairman of the Authority. (4) All the members of the Authority shall hold office during the pleasure of the Central Government. (4-A) The Chairman of the Authority and the other full-time members shall receive such salaries and allowances as may be determined by the Central Government and the other members shall receive such allowances and fees for attending the meetings of the Authority, as the Central Government may prescribe. (4-B) The other terms and conditions of service of the members of the Authority [including, subject to the provisions of sub-section (4), their terms of office] shall be such as the Central Government may prescribe. (5) No full-time member of the Authority shall have any share or interest for his own benefit, whether in his own name or otherwise, in any company or other body corporate or an association of persons (whether incorporated or not), or a firm engaged in the business of supplying electrical energy or fuel, in whatever form for the generation of electricity or in the manufacture of electrical equipment. (6) The Authority may appoint a Secretary and such other officers and employees as it considers necessary for the performance of its functions under this Act on such terms as to salary, remuneration, fee, allowance, pension, leave and gratuity as the Authority may, in consultation with the Central Government, fix: Provided that the appointment of the Secretary shall be subject to the approval of the Central Government. (7) The Chairman of the Authority may, by order, appoint any two or more members of the Authority to act on behalf of the Authority in relation to any matter referred to in Cl. (ii) of sub-section (1). (8) No act or proceeding of the Authority shall be invalid merely on the ground of the existence of any vacancy in, or any defect in the constitution of, the Authority.